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Gov Signs Side-by-side Bill Comparison Of Supplier Prices Against Utility Default Service
New York Governor Kathy Hochul signed S3876 that requires the Energy Service Company (ESCO) to include on the first page of the customer’s bill a “side-by-side” comparison showing the supply rate charged by the ESCO compared against the default service price that would have applied during same billing period. Download Bill Text Pdf
As reported previously after passing both houses the bill was delivered to the governor for signature or veto. The bill was introduced on January 30, 2025, entitled “An act to amend the general business law, in relation to requiring comparison of prices charged by ESCOs.”
Specifically, this new law amends section 349-d of New York’s general business law that defines “customer” as, “any person who is sold or offered an energy services contract by an ESCO (i) for residential utility service, or (ii) through door-to-door sales”.
This new law -among other things- would require ESCOs to provide side-by-side price comparisons on the first page of the customers’ billing statements. The comparisons would reflect the price the ESCO charged during the previous billing period and the price the customer would have paid if they had received service from their local utility or municipality. Furthermore, ESCOs would be required to provide an itemized list of prices for any energy-related value-added products during the billing period.
Under the new law ESCO also must annually provide each customer a statement comparing the ESCO rate charged over the prior 12 months compared against the default service price that would have applied over the same period. More specifically, the annual comparison, “shall convey such information in a manner that unambiguously conveys whether the customer is saving money or paying a premium for service from the ESCO over such period.”
This act shall take effect on the one hundred eightieth day after it shall have become a law. Effective immediately, the addition, amendment and/or repeal of any rule or regulation necessary for the implementation of this act on its effective date are authorized to be made on or before such date.
